Mastering Blockchain Programming with Solidity

Applicability

The factory contract pattern should be used in the following cases, when:

• A new contract is required for each request to be processed. For example, in the case of creating a new loan term between two parties, a master contract can create a new child contract called Loan. This new Loan contract has logic to handle contract terms and conditions along with the funds as well.
• You would need to keep the funds separate in a different contract.
• A separate contract logic should be deployed per request and one or more entities are to be tied together using this newly deployed contract.